Advantages and disadvantages of batch and flow production

Could anyone explain the advantages and disadvantages of batch and flow ( mass) production ?
Thanks :tsr2:

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Well the advantage of batch production is that the company that uses it has a variety of products rather than just one type so therefore it gives customer a larger choice and hence a larger possibility of sales. Another advantage is that the company is reducing its risk on simply concentrating on one product; it produces a variety of different ones of the same type.
The main disadvantage of batch production is that there's a period of time for which the machinery is being changed and this causes the productivity to stop completely which the could cause the workers to sit idle; basically the work stops.

The advantage of flow production is that the company using it can mass produce many items at once which would would reduce the unit cost, hence reducing the price and possibly increasing sales. It may therefore develop a good brand name for low prices.
The main disadvantage is that the work is quite repetitive for workers and can cause demotivation (imagine sitting at a conveyor belt all day tightening the same screw!) which leads to a poor quality/productivity. Also opposite to batch production, the company is only producign one type of product therefore it's concentrating all of its risk on one good.

Hope this helps!

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Analysis of both... Remember that business is all about applying the theory to the case study...

Batch production- Advantages
1) Allows products to be differentiated to suit the customers specific customer needs, which is suited to Niche markets, where a higher price for the product can be charged, and the business will faced reduced competition.
2) Suited to dynamic markets (quickly-changing), as the product can be changed or altered to better suit the changing consumer demands, therefore the business is less likely to lose sales to competitors.
3) Lower start-up costs- machinery required for batch production is often cheaper than the complex, mass-scale equipment required to carry out flow production.
4) More motivating to staff- they will experience better job satisfaction as the working enviroment will be changing.

Batch production- Disadvantages
1) Slower than flow production- as machines have a period of time where they are being reset or reloaded- and in this period of time, nothing is being produced- no money is being made!
2) More expensive- higher cost per unit, as different materials are required as the products change, so less economies of scale are available.

Flow production- Advantages
1) Mass production- lowers the cost-per-unit as the business can access economies of scale, increasing profit margins...
2) Time saving as lots of a product can be produced quickly- there is no lag time whilst the machines are being reloaded/reset, as in batch production.

Flow production- Disadvantages
1) Workers do not feel motivated, as often production line work is repetitive and boring- requires little skill.
2) Products are undifferentiated, so often appeal to mass markets- thus making the business vunlerable to competitors on the basis of ccompeting often on price alone.

Hopefully this helps, there are obviously more advantages and disadvantages, however these are some of the main ones to consider.
REMEMBER- business studies is all about applying the theory to the case studies,
Therefore, flow production would not be suitable for the production of high quality tailored suits, and the reasons for this speak for themselves...

Reply 14

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Original post by boyz123

Could anyone explain the advantages and disadvantages of batch and flow ( mass) production ?
Thanks :tsr2:

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